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Required rating of the capacitor banks to improve the PF from the present PF of 0.64
(lag) to 0.95 (lag). Take the unit price of capacitor as Rs.300 per kVAr.
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Calculation:
New value of kVA when pf is improved from old value of 0.64 (lag) to new pf of 0.95 (lag)
Old pf 0.64
New kVA = x Old kVA = x 1020 kVA = 687 kVA
New pf 0.95
1
New kVAr after pf improvement = kVA 2 kW 2 = 687 2 653 2 = 213 kVAr
Value of capacitor required = (New kVAr - Old kVAr) = 784 kVAr - 213 kVAr
Capacitor value required = kW [tan (Cos-1 (old pf) tan (Cos-1 (New pf)]
= 333 kVA
Annual cost savings due to reduction in kVA=kVA (savings) x Rs. / kVA x 12Months
c) Cost of implementation
Cost of 570 kVAr capacitor bank, taking Rs.300/ kVAr = Rs.300 x 570 kVAr
= Rs.1,71,000
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